Japan’s ANA Holdings Inc., the parent firm of All Nippon Airways Co., said on July 30 that it slipped into the red in the first quarter of fiscal 2013, which started on April 1, despite a jump in international cargo revenue.
ANA Holdings suffered a net loss of 6.643 billion yen ($67.78 million) on a consolidated basis in the April-June quarter, compared with a net profit of 668 million yen ($6.82 million) a year earlier.
The ANA group’s revenue from overall operations grew 4.4 percent in the April-June quarter year-on-year to 358.336 billion yen ($3.66 billion). The group incurred an operating loss of 5.614 billion yen ($57.29 million) in the April-June period, however, compared with an operating profit of 11.080 billion yen ($113.06 million) a year earlier.
ANA Holdings blamed the dismal performance in the first quarter of fiscal 2013 partly on a rise in operating expenses, primarily due to higher fuel costs, with the yen weaker against the U.S. dollar. The company also blamed the suspension of Boeing 787 Dreamliner services during part of the April-June period.
The ANA group’s revenue from international cargo operations soared 14.0 percent in the April-June quarter from a year earlier to 24.5 billion yen ($250.00 million). But its revenue from domestic cargo operations dropped 6.3 percent to 7.1 billion yen ($72.45 million).
ANA Holdings did not give specific profit figures for its cargo operations.
ANA has postponed plans to convert a passenger aircraft into a freighter and instead said it will order a new cargo plane.
ANA Holdings also left unchanged its group revenue and profit forecasts for fiscal 2013, which were announced on April 30: 1.610 trillion yen ($16.43 billion) in group operating revenue, up 8.5 percent from fiscal 2012; 110.000 billion yen ($1.12 billion) in group operating profit, up 5.9 percent from fiscal 2012; 45.000 billion yen ($459.18 million) in group net profit, up 4.3 percent from fiscal 2012.